Newham's Pension Fund is preparing for significant changes under the upcoming Pension Scheme Act 2026, which will introduce new governance and administration requirements. The Pension Committee met on Thursday, July 16, 2026, to discuss the implications of the Act, which stems from the Fit for the Future
consultation.
Key changes include the mandatory appointment of a Senior LGPS Officer and an Independent Person. The Senior LGPS Officer will hold dedicated, senior-level responsibility across all pension fund functions, including administration, governance, and investment. The Independent Person will provide support to the Committee and the Senior LGPS Officer in areas of investment strategy, governance, and administration.
The Act also mandates the development of a comprehensive training strategy for all personnel involved in the Pension Fund's governance and administration. This strategy will detail how the fund will ensure Elected Members, Board members, and Officers possess the appropriate knowledge and skills for their roles. It will include requirements for ongoing training, clear accountability, and demonstrable competence in key areas such as pensions law, governance, funding, investment, and risk management.
Further legislative reforms are on the horizon, impacting survivor benefits, death grants, and maternity leave provisions. These changes, stemming from the 'Access and Fairness' consultation, aim to equalize survivor benefits and update death grant rules by removing the age 75 cap and the requirement for death grants paid after two years to be paid to a personal representative. Additionally, additional unpaid maternity, adoption, and shared parental leave taken after April 1, 2026, will be automatically pensionable, with the cost met by the employer. The equalizing of survivor benefits is intended to remove inconsistencies in pension calculations based on sex or sexual orientation, potentially increasing survivor pensions where unfair treatment occurred.
Notably, the normal minimum pension age will rise from 55 to 57 in April 2028.
The Act also aims to strengthen protections for outsourced staff by ensuring they remain in the LGPS. Reforms to 'New Fair Deal' will implement the 'Deemed Employer' Model, where the outsourcing local authority remains the legal pension employer, while the contractor is the employment employer. This is intended to streamline the process by eliminating the need for complex admission agreements and standardizing it to 'pass-through' agreements.
More information can be found in the Public reports pack 16th Jul 2026.
